Hemlock for economic students
(Putting effective demand in the long run and prices of production together)

Friday, July 15, 2011

15 minutes of fame

﻿Andreu Mas-Colell, author of the famous micro text used in most graduate programs, and specialist in General Equilibrium, suggested a solution for Spanish unemployment. After wage reductions, his advise is to go for "marginal adjustments" like increasing the working day of public workers by 15 minutes. Working more for less money, would help balance the budget and maintain credibility. The hilarious proposal is described here (in Spanish). Nough said.